CBO: Debt ceiling deal cuts at least $2.1 trillion
August 1st, 2011
12:28 PM ET
3 years ago

CBO: Debt ceiling deal cuts at least $2.1 trillion

NEW YORK (CNNMoney) - The last-minute debt ceiling deal Congress is racing to enact would reduce deficits by at least $2.1 trillion over 10 years.

That's the verdict from the all-important nonpartisan Congressional Budget Office, which is the official scorekeeper for all legislation.

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Filed under: Congress • Congressional Budget Office • Debt • Deficit
soundoff (12 Responses)
  1. GI Joe

    Only the lazy people are on unemployment - you know, teachers, firefighters, police, waiters, etc. Notice the executives are never mentioned? I know several execs that are on unemployment. About time.

    August 1, 2011 12:31 pm at 12:31 pm |
  2. The Day of Financial Reckoning is HERE - The Great Democrat Welfare Society Ends

    Great... But what about the OTHER $8-12 TRILLION in debt they will be running up???

    What about when Obamacare kicks in, employers opt to pay the fine, drop coverage and millions end up on government subsidized healthcare costsing TRILLIONS more. (Yes America, you were lied to by the Democrats and Obama!)

    The ONLY long term and REAL solution is a balanced budget amendment. Anything else is just smoke and mirrors. pablum to make you feel good while you slow destroy the country with ever increasing debt.

    August 1, 2011 12:34 pm at 12:34 pm |
  3. Four and The Door

    $156 billion would be saved because of reduced interest costs on the country's debt.
    ________________________________________________________________________________________________
    These are what it's all about. The interest costs on the growing debt are what hurt. As the debt goes up and it still is, these costs also go up. They don't go away until we bring the debt back down. Our goal should not be to increase the debt limit, but to decrease it. People cry about how difficult Paul Ryan's plan to deal with this is but as the debt goes up there will be much more difficulty that we are passing along with it. We need to bring the debt down. And we will, starting in 2013 with people who have that as their goal.

    August 1, 2011 12:38 pm at 12:38 pm |
  4. Fair is Fair

    There needs to be at least another $2.1 Trillion in cuts if you ask me. Since this is amortized over 10 years, that comes out to an average of $210 Billion per year. When you run deficits of $1.5 Trillion per year, this is a mere drop in the bucket. But it's a start.

    August 1, 2011 12:40 pm at 12:40 pm |
  5. Voice of Reason

    That's how much it CUTS, but how much revenue does it raise?

    If i were to turn this into a household-budget analogy, like the GOP and our friends in the Tea Party like to do – then it would go like this:

    If I were a farmer, and saled of cabbages (or whatever i was growing) wasnt going so well – would i simply try to spend less money (cutting the budget), or would i try to sell more cabbages and make more money (increase revenue) ? If you live in a red state the common sense seems to be that you just live on less, and refuse to sell more cabbages (on principle). Have fun watching your farm sold on the auction block to the chinese.

    August 1, 2011 12:52 pm at 12:52 pm |
  6. Amanda

    Hold on not everyone on unemployment is lazy. I am unemployed and unable to get unemployment. Does that make me lazy? No I didn't think so because their is no jobs. Another thing that's bullcrap these executives on unemployment sitting on millions of dollars. Instead of the poor and middle class almost paying $0.10 on the dollar these millionaire and billionaires shoud pay atleast $0.25 on the dollar they can afford it. Its sad these rich abusing the system. I am in the middle class and one thing I strongly disagree is cutting education findings. The elderly shouldn't be cut as well I mean some are still living tharwent through the great depression don't you think they suffered enough. Of course Republicans wouldn't understand that because they've had the silver spoon stuck in their mouths and still do. Be down in the diets and then tell me your opinion. Until the rich have put their feet in our shoes they will never get it.

    August 1, 2011 12:53 pm at 12:53 pm |
  7. FM

    Good and thanks god that Medicaid, Social Security will remain intact (no cuts at all), thus families at a low income are relieved from the fears. Something is better than nothing!

    August 1, 2011 12:57 pm at 12:57 pm |
  8. Adan

    This is a loser deal. Democrats as usual win out to the detriment of the country. From 10Trillion to 14Trillon while the Spender and Chief has been in office and going higher. Save your sacred cows but we going down......

    August 1, 2011 12:58 pm at 12:58 pm |
  9. California Conservative

    Anyone for continued massive spending is truly Anti-American and advocates for the destruction of the US financial system.

    August 1, 2011 01:24 pm at 1:24 pm |
  10. California Conservative

    From Sen. Obama’s Floor Speech, March 20, 2006:

    The fact that we are here today to debate raising America’s debt limit is a sign of leadership failure.

    OBAMA BY HIS OWN WORDS IS A FAILURE.

    August 1, 2011 01:26 pm at 1:26 pm |
  11. Mikey

    @ Four and the Door – Raising the debt limit does not authorize more spending. Not raising it is like you buying a bunch of stuff on your credit card and then deciding you can't afford it, so you won't pay your bank when the credit card bill arrives. That does not make you frugal, it makes you a deadbeat.

    Over $3.3T of our current debt is directly related to the Bush tax cuts and the two wars... and they are the gifts that keep on giving. Let's change our spending habits and make our tax system more fair. People making over $10M per year have a lower marginal tax rate than those making 100x less. What is fair about that? Corporate taxes are even more uneven and unfair.

    August 1, 2011 01:52 pm at 1:52 pm |
  12. New Age Independant

    GI Joe

    Only the lazy people are on unemployment – you know, teachers, firefighters, police, waiters, etc. Notice the executives are never mentioned? I know several execs that are on unemployment. About time.
    ----
    So much hate... So little knowledge.

    August 1, 2011 02:39 pm at 2:39 pm |